Graphic Processing Unit (GPU) Market Expected to Reach $200.85 Billion by 2027

Graphic Processing Unit (GPU) Market

Report Code : A01470

quote The Asia-Pacific region dominates the graphics processing unit industry, owing to high investment from the government in generating high graphic computing systems for defense & intelligence along with the increasing incorporation of IoT systems, which demand efficient graphic computing systems. Also, high incorporation of integrated and dedicated GPUs in supercomputers, artificial intelligence platforms, and IoT devices fuels the growth of the market. Moreover, growing adoption of graphic processing unit due to the presence of large sized gaming developers in the region, are expected to impact positively on the graphics processing unit market growth. quote

Rachita Rake
Research Analyst, ICT at Allied Market Research

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According to a recent report published by Allied Market Research, titled, “Graphic Processing Unit (GPU) Market by Type, Device, and Industry Vertical: Opportunity Analysis and Industry Forecast, 2020-2027,”the global GPU market size was valued at $19.75 billion in 2019, and is projected to reach at $200.85 billion by 2027, growing at a CAGR of 33.6% from 2020 to 2027. 

The GPU industry meets the demands of increasingly complex visual effects in games and entertainment applications. The improved performance and functionality of GPUs have made them potential coprocessors for general-purpose computation. The GPU market is filled with research for utilizing their vector processing and parallelism capabilities through development of new graphic design software and algorithms. The demand for the GPU market is globally expected to increase during the forecast period due to constantly evolving graphic games, augmented reality (AR) and virtual reality (VR) gaining traction, and trending artificial intelligence (AI). However, inability of integrated GPUs to facilitate intensive graphic designing is one of the major software restraints for the market growth. Moreover, a thriving portable electronics and wearable’s market and trending Internet of Things (IoT) create lucrative opportunities in the market. The inability of integrated GPUs to perform high graphic computing and developing efficient hybrid GPUs are the challenges faced by the graphics processing unit market. 

The demand for GPUs is expected to surge due to heavy investments in the R&D of AI platforms and VR by several key players, including Intel Corporation, NVIDIA Corporation, Advanced Micro Devices Inc., and others, leading to the improvement in reliability and efficiency. Vendors like Intel, AMD and NVIDA dominate the graphics processing unit market in terms of shares owing to its long-time presence in the market. 

On the basis of type, the integrated graphic processing unit accounted for the highest share of the overall GPU market size in 2019, owing to their incorporation in portable electronic devices, such as smartphones, tablets, handheld gaming consoles, laptops, and many more. However, hybrids GPUs are expected to be the fastest-growing segment in the GPU industry, owing to their ability to function as both, integrated and dedicated GPUs.

GPUs have penetrated a wide range of industries such as electronics, IT & telecommunication, defense & intelligence, media & entertainment, industrial, and healthcare. In 2019, the GPU electronics industry segment held majority of the GPU market share in the overall GPU market. The manufacturers of portable electronics and wearable’s are incorporating advanced graphic computing systems for applications such as VR & AR to maintain a competitive advantage which drives its adoption. However, the other industries is expected to grow at a faster pace owing to the increased investment in developing GPU by players for applications, such as 3D visualization of geospatial data, base stations, and workstation.

Though the COVID-19 outbreak continues to transform the growth of different industries, the immediate impact of the outbreak is varied in each country due to different lockdown enforcements by the government. Even though few industries will register a drop in demand, numerous others will continue to remain unmarked and will show promising growth opportunities in the upcoming years. Also, number of key players of the market is coming up with new strategies to overcome the impact of COVID-19 pandemic. For instance, NVIDIA made its platform “Parabricks” free for 90 days to any researcher which is working on sequencing the novel coronavirus and the genomes of people afflicted with COVID-19. GPU technology play an important role in assisting the scientific community involved in researching genome analysis and sequencing.

Key Findings Of The Study

  • By type, in 2019 the integrated GPUs dominated the Graphic Processing Unit (GPU) market size. However, the hybrid GPUs is expected to exhibit significant growth during the forecast period.
  • By device, the smartphone segment accounted for the highest revenue in 2019 and the computer segment is expected to witness highest growth rate in the forecasted period.
  • By industry vertical, the electronics industry generated the highest revenue in 2019. However, the railways segment is expected to witness highest growth rate in the near future.
  • By region, the Graphic Processing Unit (GPU) market was dominated by North America region. However, other industries are expected to witness significant growth in the upcoming years.

Some of the key Graphic Processing Unit (GPU) industry players profiled in the report include IBM Corporation, Intel Corporation, NVIDIA Corporation, Samsung Electronics Co., Ltd., Qualcomm Incorporated, Advanced Micro Devices, Inc., Dassault Systems, Inc., Google LLC, Siemens AG, Sony Corporation and others. This study includes graphics processing unit market trends, graphics processing unit market analysis, and future estimations to determine the imminent investment pockets.

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quote Graphic Processing Unit (GPU) Market by Type (Dedicated, Integrated, and Hybrid), Device (Computer, Tablet, Smartphone, Gaming Console, Television, and Others), Industry Vertical (Electronics, IT & Telecommunication, Defense & Intelligence, Media & Entertainment, and Others): Global Opportunity Analysis and Industry Forecast, 2020-2027 quote

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